Im Debt Free At Last! No Toxic Debt!

Well I’m debt free at last! No more toxic debt left! Sure, I don’t own a home but I’m free from the burden of a mortgage to pay. I keep my living costs to a minimum by renting a room, which in turn helps my landlord, on a low income, be more secure financially. Now I just have to deal with my 2009 – 2010 tax bill debt when I receive it, tax debt must be paid by the end of Jan 2011 as I’m self employed. Hopefully that debt will be £600 or less, if I ever receive the final conformation letter from the tax office. Hey taxman! It’s no good sending it to me in Jan, & expect me to find the money within days, after all, it’s almost Christmas.

At least now I’m free to get to.. ohh.. what is that term? Ah yes! Start saving! I haven’t been able to do this in 6 years as I was too busy living ‘hand to mouth’, on the breadline. If I had any money I used it to pay off some of my toxic debt. There have been a few times where my income ceased, causing my debt problems to increase again because I couldn’t make payments so more late penalties were added but I persevered with paying off my debts to finally become debt free.

My thanks to those who supplied me with tiling work even though I can’t stand tiling anymore. Please keep it it up! My dream of earning enough from this blog so I can do volunteer work instead is a long way off yet and that’s why this blog is called Aid Renegade. Thanks also to the UK’s money saving expert and his forums for helping me and thousands of others in the UK beat their toxic debt problems. If you know a site that is dedicated to do everything possible to help you save money & become debt free in a country outside the UK please add it in comments.

I’m not sure if finally being debt free has sunk in yet. The last of the money has definitely left my bank account though. No credit card = no problem! I now don’t spend money I don’t have because I just don’t want the hassle of the debt. Me and my visa debit card are running my finances just fine now. It’s going to stay that way too.

I’m now 42 & I’d probably be 45 before I could save about £20,000 for a deposit on a mortgage at best. With an expected 25 year mortgage debt I’d be 70 when I paid it off. I don’t plan on being forced to still work when I’m 70, if I last that long. In my family no male has made it to 70 so far, 69 being the oldest.

Say I could buy a cheap flat for £120,000, that’s still a £100,000 mortgage. Including interest over 25 years that will be 2 – 3 times that amount of debt paid won’t it? Call it £200,000 – £300,000 for now. If I rent a good 2 bed flat it will cost about £750 a month at present. That’s £225,000 over 25 years although rent will probably go up. Of course right now I’ve no intention of paying £750 a month plus bills. I rent a room for £280 a month all in, no council tax or utility bills. Right now I just don’t see the point of having a mortgage debt commitment as it’s a bad idea to keep all your eggs in one basket. Instead I’ve got 15 – 20 years to make my money work for me some how & buy a place outright with cash when I can afford it. This is the way I want it, not buying anything I can’t afford.

Well, it’s Saturday morning & I’ve got to go to work tiling now to start working on adding to my savings now. I’m doing it debt free, it’s now my money to do what I want to with (after the tax debt takes it’s share…).